is facing alawsuit from Tel and Com for breach of contract.

Tel and Comwants €134 million in damages, after Bouygues Telecom failed to give a 30-monthnotice before severing ties with the French phoneand electronics retailer, Telecompaper reported April 10, citing FrAndroid.com.

BouyguesTelecom and Tel and Com have been in partnership for 15 years, until the end of2013.

The entryof Iliad SA's Freeinto the French mobile market also reportedly hit Tel and Com's revenue, asIliad sells subscriptions online, and offers no lock-in period.

Tel and Comgets up to 25% of its revenue from commissions coming out of phone and tariffsales, according to the report.